8-KOther EventsExhibits & Filings

TRUIST FINANCIAL CORP 8-K Report, Corporate Update (Aug 1, 2019)

Filed August 1, 2019For Securities:TFCTFC-POTFC-PRTFC-PI

Summary

Truist Financial Corporation (TFC), formerly BB&T Corporation, announced on August 1, 2019, through a press release filed via an 8-K, its intention to redeem all outstanding shares of its 5.850% Series D Non-Cumulative Perpetual Preferred Stock and 5.625% Series E Non-Cumulative Perpetual Preferred Stock. This action involves both the preferred stock and their corresponding depositary shares. This redemption, set for the dividend payment date of September 1, 2019 (with payment on September 3, 2019, due to the date not being a business day), will occur at a price of $25 per depositary share. This event signals a significant capital management decision by the company, impacting preferred stockholders by ending dividend accrual and returning capital. Investors should note that regular dividends will be paid to shareholders of record as of August 14, 2019, prior to the cessation of accrual.

Key Highlights

  • 1TFC (formerly BB&T) is redeeming all outstanding Series D and Series E Non-Cumulative Perpetual Preferred Stock and their associated depositary shares.
  • 2The redemption price is $25 per depositary share.
  • 3A total of 23 million Series D Depositary Shares and 46 million Series E Depositary Shares are being redeemed.
  • 4The redemption is scheduled for September 1, 2019, with payments processed on September 3, 2019, as it is the next business day.
  • 5Regular dividends will be paid to holders of record as of August 14, 2019.
  • 6Dividend accrual for these preferred stock series will cease on and after the redemption date.
  • 7The filing is an 8-K report, indicating a material event for the company.

Frequently Asked Questions

Truist Financial Corporation (formerly BB&T) is redeeming all outstanding shares of its 5.850% Series D and 5.625% Series E Non-Cumulative Perpetual Preferred Stock, along with their corresponding depositary shares. This is a capital management decision by the company.

The redemption price is $25 per depositary share. This is equivalent to $25,000 per share of the underlying preferred stock.

The redemption is scheduled to occur on September 1, 2019. However, since this is not a business day, the redemption price and any final regular quarterly dividends will be paid on the next succeeding business day, which is September 3, 2019.

Yes, regular dividends will be paid to holders of record as of August 14, 2019. Dividend accrual for these preferred stock series will cease on and after the redemption date.